Workers at the Maridadi Farm in Naivasha, prepare rose flowers for export to Europe.
Kenya’s flower producers are missing their export target by up to 20 per cent ahead of the peak Valentine’s Day, their lobby said, owing to high costs and disruptions after several international airlines withdrew their freight services at the main Jomo Kenyatta International Airport (JKIA), citing lower returns compared to other routes.
The Kenya Flower Council CEO Clement Tulezi said producers are currently only accessing a freight capacity of about 3,500 tonnes per week against a demand of 4,800.
“I will equate the reduced margins to what is left at the airport and not exported at about 15 per cent to 20 per cent of our produce cannot be exported because of either cost or a lack of capacity and that is the gap we are seeing in terms of our volumes of export,” the official said.
“On average, we need about 3,500 tonnes of freight capacity per week during the low season and we are short by about 1,000 tonnes at the moment. During the high season like now heading to Valentine’s Day, we need 4,800 tonnes and we are at about 3,500 tonnes because some airlines withdrew their flights into Nairobi since November,” Mr Tulezi added.
Several international airlines withdrew their freight services at JKIA, citing low returns and opting for more lucrative routes.
Qatar Airways withdrew two freighters carrying flowers from Nairobi to Liege (Belgium) resulting in a 200 tonnes drop in capacity while Turkish Airlines removed one freighter per week services from Nairobi to Maastricht (Netherlands) affecting flower exports by a further 100 tonnes.
Kenyan flowers are mainly sold to the Netherlands (about 70 per cent), followed by the Britain, Germany, Italy, and France.
“We have a logistics issue, we don’t have sufficient freight capacity and the cost has doubled from Sh258.39 ($2) per kilogramme to Sh581.37 ($4.5) per kilogramme in the last five months,” added Mr Tulezi.
“Even as we go into valentines, there is a serious possibility that some produce will not be exported because either, the pricing of freight is too high or there are no aircraft and space to move these flowers to the markets,” the official said.
Economic weakness in Europe and a jump in cargo charges have hit flower firms that were anticipating good returns this Valentine's season with most of the companies expected to sell roses locally to avoid the exorbitant cost of freight.
The Shippers Council of Eastern Africa, a lobby representing importers and exporters, recently said foreign cargo airlines were enticed by relatively ‘better’ pay for their services in other global jurisdictions because of the increasing activities ahead of the festive season.
